HealthPrize Technologies announced its first institutional financing of $3 million led by private equity firm Mansa Capital, which also scored the right to increase its investment by an additional $2 million through July 31, 2015. As part of the deal, Ruben King-Shaw Jr., Mansa Capital Managing Partner and Chief Investment Officer, will join the HealthPrize board of directors. Westbury Group LLC was HealthPrize’s exclusive financial advisor for the round.
The new money will be used primarily to expand the HealthPrize team to meet the growing demand for its software and services. In addition, the financing will also support the company in its international expansion and in its foray into other healthcare verticals.
HealthPrize creates and manages customized digital patient engagement and adherence programs across diverse medical conditions and demographic groups.“The healthcare industry has a strong focus now on digital health approaches, and increasingly, there’s a greater understanding of how incentives and gamification-particularly in combination with education-can influence behavior,” said Thomas Kottler, HealthPrize CEO. “We are well poised for rapid growth at this juncture, having demonstrated phenomenal engagement and adherence rates in our first several programs. We are further encouraged by our favorable timing in the marketplace, as well as the growth in our customer portfolio, which now includes a number of top-20 global pharmaceutical companies.”
HealthPrize creates and manages customized digital patient engagement and adherence programs across diverse medical conditions and demographic groups. Its current customers are global pharmaceutical companies, with plans in progress to expand into other healthcare verticals such as the payer and retail pharmacy markets as well as risk bearing provider groups and self-insured employers. The HealthPrize platform relies on a combination of behavioral economics concepts, gamification, education and rewards to maximize motivational impact. Patients enrolled in HealthPrize programs demonstrate persistently high engagement rates and materially higher adherence rates, nearly 50% higher than baseline on average.
The company was founded in 2009 by Thomas Kottler, Katrina Firlik, MD, and James Jorasch.